JOHANNESBURG (miningweekly.com) – Anglo American confirmed on Wednesday that it is in advanced discussions with Sirius, which has plans to develop a polyhalite mine in North Yorkshire, UK.
Sirius, a fertiliser development company listed on the London Stock Exchange, has been taking steps to secure funding for the project's first stage. Polyhalite is a mineral salt that can be used as a fertiliser, with potential for other industrial applications.
Anglo confirmed that it is in advanced discussions with Sirius in relation to a possible offer at a value of 5.5 pence per Sirius share, in cash. The proposal values the entire issued share capital of Sirius at approximately £386-million.
Anglo identified the project as being of potential interest some time ago, given the quality of the underlying asset in terms of scale, resource life, operating cost profile and the nature and quality of its product.
The project has the potential to fit well with Anglo’s portfolio trajectory towards later cycle products that support a fast-growing global population and a cleaner, greener, more sustainable world.